Barbie Magic Genie Bottle is a computer game that is packaged with a custom-purpose input peripheral -- an actual genie bottle that attaches to a Windows PC via a standard PC 15-pin joystick port. The bottle is used to invoke special actions during the game and is thus a required component of the gameplay.

Barbie transports the player to the distant land where you will be assisting her. Barbie needs the player to visit 5 different lands and collect 5 different gems. In order to collect the gem in each land, the player must solve a puzzle. Solving the puzzle requires collecting 5 puzzle pieces scattered about the land.

Gameplay involves navigating through a first-person 3D city on foot and via flying carpet, which raises the player up to a higher plane. All the while, Barbie is in tow lending advice. Throughout different cities, the player also has to interact with other people and complete sub-quests that they assign in order to advance the game.